Ukraine claims it would exit Egyp­tian wheat mar­ket due to new im­port rules

Egypt’s Min­istry of Agri­cul­ture de­nies any changes to wheat im­port rules

The Daily News Egypt - - Business - By Mo­hamed Samir

Ukraine could lose its ex­port share to Egypt, the world’s largest wheat im­porter, as a re­sult of the new wheat im­port re­quire­ments and rules that might favour their wheat ex­port ri­val Rus­sia, Maksym Mar­tyniuk, Ukraine’s act­ing agri­cul­ture min­is­ter, told Reuters.

Ear­lier in March, the first deputy head of Ukraine’s State Con­sumer Pro­tec­tion Ser­vice, Vladimir Lapa, an­nounced that in 2016, Ukraine ex­ported more than 5.5m tonnes of wheat to Egypt, which marks more than 14% of the coun­try’s to­tal wheat ex­ports, while UkrA­groCon­sult con­sul­tancy says that Ukraine ex­ported 2.5m tonnes to Egypt in 2016/17.

Mar­tyniuk claims that Egypt has raised the pro­tein con­tent re­quire­ment for wheat im­ported from Rus­sia and Ukraine to 12.5% from 11.5% pre­vi­ously im­posed.

On the other hand, Hamed Abd El-Azeem, spokesper­son for Egypt’s Min­istry of Agri­cul­ture, told Daily News Egypt that the min­istry didn’t an­nounce any changes to the ex­port re­quire­ments, say­ing that he wouldn’t com­ment on an­other coun­try’s min­istry of agri­cul­ture com­ments.

“We could gen­er­ally tum­ble out of the Egyp­tian mar­ket be­cause we have no such vol­umes and spec­i­fi­ca­tions that we could sup­ply to Egypt,” he said in an in­ter­view in Kiev.

More­over, Mar­tyniuk claims that the Egyp­tian move could help Rus­sian sup­pli­ers, adding that if that’s the case, Ukraine wouldn’t be able to do any­thing about it.

Con­se­quently, Mar­tyniuk said that Ukraine would in­crease its wheat ex­ports to the Asian mar­kets to com­pen­sate for any losses in their ex­port shares.

Ukraine wheat ex­ports to Asian mar­kets in 2016/17 ac­counted for about 6.6m tonnes, with Thai­land, In­done­sia, Philip­pines, Bangladesh, and Korea be­ing the main im­porters. The Asian mar­ket share ac­counted for around 38% of the coun­try’s to­tal wheat ex­ports.

Ukraine ex­ported 2.5m tonnes to Egypt in 2016/17

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